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Bella Cariaso - The Philippine Star
November 12, 2026 | 12:00am
MANILA, Philippines — After presenting the Davao City accountant as witness before the Senate impeachment court, Vice President Sara Duterte’s defense team believes that it was able to disprove that she received double compensation in 2023.
Duterte spokesman Paolo Panelo said the defense yesterday managed to debunk claims by the House prosecution team that she received income from the Davao city government while serving as vice president.
Panelo cited alleged efforts by prosecutors to divert the issue after defense witness Davao City accountant Vingelin Bajan was grilled about her connection to an accounting firm and her trips to China.
“Because as senators-judges, although many of them are not lawyers, right? For me, they should know what is relevant to the matter and what is not,” Panelo said.
Upon cross-examination, the senators learned that Bajan remained a partner at the accounting firm Ampil, Elises, Ciudadano and Co. CPAs while she was already a Davao city hall employee, constituting conflict of interest.
The prosecution pointed out the link to cast doubt on her credibility as defense witness.
Panelo said Bajan presented documents showing that the 2023 payment to the Vice President covered salary differentials for 2020 and 2021, when she was still mayor, that had not been paid amid a delay in the completion of the documentary requirements.
“They should control themselves by asking only those questions that are relevant to the issue at hand. The only question, the simple question is, does VP Sara have any hidden wealth that was not declared in her SALN?” Panelo added.
According to Panelo, the amount paid by the Davao City LGU represented her salary differential.
“The city accountant of Davao City, she explained that this P60,000 to P80,000 paid to VP Sara in 2023 is not double compensation, but salary differential for income she should have earned as mayor in 2020 to 2021,” he said.
‘Loose investment’
A defense witness said GenCorp Industries Inc. paid Duterte at least P2,142,369.14 in “loose investment” from 2022 to 2025.
Defense counsel Justin Nicol Gular presented GenCorp and Metro City Chow Foods Corp. in-house counsel Suzette Balucanag-Punay, who testified that GenCorp issued a series of checks to Duterte.
“From the year 2022 to 2025, how much was the total disbursement from GenCorp Industries Inc. to Vice President Sara Zimmerman Duterte?” Gular asked Punay.
“It’s a total of 2,142,369 pesos and 14 centavos,” Punay said in her response.
Gular asked Punay regarding the disbursements from 2022 to 2025 to the Vice President.
“It’s a return of capital,” Punay added.
House prosecution witness financial forensic analyst accountant-lawyer Alexander Cabrera had said Duterte and her husband Manases Carpio had unexplained wealth amounting to at least P1.5 billion based on voluminous bank, tax and other government records.
“Compared to what you said and the figures shown in the forensic report of Atty. Alex Cabrera, how do you describe the difference?” Gular asked.
“Very big difference, sir,” Punay replied to Gular.
Gular noted that based on the supposed forensic report of Cabrera, the alleged total computed undeclared income of Duterte from GenCorp in 2023 was P55,714,292.
Punay said that in 2023, GenCorp paid Duterte P555,750, representing her “return of capital.”
According to Punay, GenCorp disbursed P612,419.14 and P636,700 to Duterte in 2024 and 2025, respectively.
Gular noted that Cabrera claimed that Duterte’s undeclared income in 2024 was P74,056,480 and in 2025, it was P82,858,946.
Presiding officer Sen. Francis Escudero asked Punay what was the purpose of the payments made by GenCorp to Duterte.
“Why is GenCorp giving a monthly amount to the Vice President from the Times Square branch from June 2022, presumably when the branch was open. And then nothing from January to April in 2024, but monthly for the years 2023 and 2025. You characterized it as return on capital,” Escudero asked Punay.
“The return of capital was from the loose investment, which was carried over to Great Jolly Times, Times Square B and eventually to GenCorp,” Punay said.
She confirmed that Duterte owned 20 percent of Metro City Chow Foods Corp., with P50,000 subscribed capital and P12,500 paid-up capital.
While Duterte was a member of the board of directors and the compensation committee from 2022 to 2025, she did not participate in board meetings or transactions, Punay said.
Financial interest
“My interpretation of the constitutional prohibition you’re referring to is that you are not prohibited from having a financial interest in a private business. What is prohibited is that you actively manage and participate in a private business,” Panelo said.
“So, if you have an investment in a corporation and you receive passive dividends or compensation from that investment, that is not prohibited. My other example, besides former president Cory Aquino, is former vice president Leni Robredo when she was vice president, she declared shares of stocks in Meralco and Rockwell Land, if I’m not mistaken. So, if it declared a dividend, Vice President Leni received it during those times. And that is not forbidden,” Panelo added.
The defense team has withdrawn 15 bank officials from its initial list of 24 witnesses, except for BPI lawyer Paul Roderick Ysmael who will face the court today.
